Silvia
Wed Sep 25 2024
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6 answers
1354
What is the carrying cost of futures?
Could you please explain to me in detail what the carrying cost of futures entails? I understand it's related to the costs associated with holding a futures contract, but I'd like to know the specific factors that contribute to this cost and how they impact the overall profitability of a futures trading strategy. Is the carrying cost fixed or can it vary depending on market conditions? Also, how does the cost of carry differ from the carrying cost of futures? I'm eager to gain a comprehensive understanding of this concept to make informed decisions in my financial endeavors.
KimonoGlitter
Sun Sep 22 2024
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6 answers
1486
What percentage is carrying cost?
Could you please clarify what percentage you are referring to as the 'carrying cost'? In the context of finance and cryptocurrency, carrying costs can encompass various expenses such as storage fees, insurance premiums, or interest payments on Leveraged positions. It's important to understand the specific components of the carrying cost you're inquiring about, as they can vary significantly depending on the asset being held and the investment strategy employed. Additionally, understanding the magnitude of these costs can help investors make more informed decisions about their portfolio allocations and risk management strategies.
